By Iddi Yire, GNA
Tema, June 26, GNA – President John Dramani Mahama has cut the sod for the beginning of constructions works for Phase 2 of Sentuo Oil Refinery located at the industrial enclave of Tema.
He hailed the facility as a major milestone for Ghana’s Industrialisation and energy security as the expansion will boost processing capacity from 40,000 to 100,000 barrels per day.
President Mahama in his address said at a time when Ghana was pursuing a deliberate programme of economic renewal and industrial transformation, the Sentuo Oil Refinery investment stood as a powerful vote of confidence in their future and in the vast opportunities that Ghana continued to offer.
He said the global energy landscape continued to face significant challenges such as geopolitical tensions, supply chain disruptions, fluctuating crude oil prices, and growing uncertainty in international markets, which underscored the importance of energy security for every nation.
“Against this backdrop, Sentuo Oil Refinery’s decision to expand its refining capacity by 60,000 barrels per day, raising total capacity from 40,000 to 100,000 barrels per day, is both bold and strategic,” the President said.
“This expansion is not merely an investment in infrastructure. It is an investment in Ghana’s future, in our energy security, in our industrial growth, in our job creation, and in our economic resilience.”
President Mahama said by increasing domestic refining capacity, they reduced their dependence on imported refined petroleum products, strengthened the reliability of their fuel supply chains, retain more value within their economy and create opportunities for Ghanaian businesses and Ghanaian workers.
He reiterated that more importantly, the Sentuo Oil Refinery project positioned Ghana to meet growing domestic and regional energy demand while enhancing their competitiveness within the West African sub-region.
“This milestone comes at a particularly important moment in our national journey. Over the past several months, Ghana’s economy has begun to turn around. Macroeconomic stability is steadily being restored. Investor confidence is returning, and the foundations for sustainable growth are being strengthened,” he said.
He added that businesses were planning with renewed certainty and predictability, and investment was beginning to flow back into their productive sectors, and that international partners were once again looking to Ghana with optimism and confidence.
The President said the expansion of Sentuo Refinery was both a reflection of that renewed confidence and a contributor to its continued growth.
“Investments in our upstream petroleum sector also reflect this new optimism. We have secured commitments totaling more than $3.5 billion, including approximately $2 billion from the Jubilee partners for drilling up to 20 new wells, and $1.5 billion from the OCTP partners to support additional field development and exploration activities,” he stated.
“We have committed upstream players to invest more money to drill new wells to raise the volumes of oil and gas we are producing. We have also initiated the process for the commercialization of the Afina Discovery, approved strategic amendments to the OCTP plan of development to enhance production, and ratified a new petroleum agreement in the offshore Tano West basin to support future reserve growth and long-term production.”
These interventions, he said were already yielding results; declaring that for the first time in several years, Ghana was poised to record an increase in crude oil production, reversing the decline that had characterized the sector.
He said production from the Jubilee field had increased significantly, from approximately 60,000 barrels per day to about 85,000 barrels per day currently, while the TEN and Sankofa fields had also recorded measurable increases in output.
These gains, President Mahama said demonstrated that through targeted investments, sound policy interventions, and effective collaboration between government and industry, we can revitalize the sector, sustain existing assets, and unlock new growth opportunities.
Mr Xu Ningquan, Executive Chairman, Sentuo Group, in his welcome remarks said President’s Mahama’s vision for economic renewal, industrialisation and the 24-Hour Economy had restored confidence among investors and strengthened Ghana’s position as one of Africa’s most promising destinations for long-term investment.
“We are proud that Sentuo Group is part of this national journey. Today, we are not simply cutting sod for another industrial project. We are laying another foundation stone for Ghana’s future. We are making another investment in jobs. We are investing in technology. We are investing in local value addition.” Mr Xu stated.
GNA
Edited by George-Ramsey Benamba